Some Government services may be privatized - News.MN

Some Government services may be privatized

Old News! Published on: 2010.06.14

Some Government services may be privatized

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Г. Нэргүй
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MPs are against the proposal to cut government
jobs. The Finance Ministry hopes to save MNT138 billion from the state budget
by abolishing 7,000 of the 154,000 jobs at present.

Giving this information, MP Ch.Ulaan, head of
the working group on budget revision, told media on Thursday that the
increasing number of government employees was an obstacle to reducing budget
expenses. In the past three years, Parliament has twice called for improving
the administrative structure and reducing expenses, but nothing significant came
of these. There is not enough money to pay for budgeted expenses, and the debt
between government organizations has been on the increase.

The working group is also exploring the possibilities
of outsourcing some government services. Private companies, both domestic and foreign,
could be given a bigger role in sectors such as energy and road transportation.
Ulaan thinks the time has come to take “the bold step” to share some services
with non-government entities. Some privatization is likely to improve the
quality of work, under pressures of competition, Ulaan felt.

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